|Date joined:||21 August, 2019|
|Initiatives:||Principles for Responsible Banking|
Founded in 1975 under the name of DESİYAB, the Development and Investment Bank of Turkey is shaping its activities with the goal of making systematic and qualified contributions to Turkey’s sustainable development at an increasing rate. Over the past 44 years, the bank has played a key role in facilitating the investments of a wide range of companies from diverse sectors. The bank has also assumed strategic positions in providing long-term resources – the most basic requirement of sustainable economic development.
Aiming to boost the employment, income and prosperity levels across Turkey, the bank has been allocating funds to investments in various sectors, led by energy, energy efficiency, industry, tourism, finance, healthcare, and manufacturing.
With the entry into force of Law No. 7147 in 2018, the Bank was restructured in line with the development goals of our country and used modern development and investment banking instruments for the following purposes:
- To support investments and projects for sustainable growth,
- To ensure efficient use of capital and fund resources,
- To finance domestic, foreign, and international joint investments,
- To ensure that all development and investment banking functions including profit-sharing, and
- leasing-based loans are performed in a competitive, dynamic, and efficient manner.
TKYB works in collaboration with a network of major international funding agencies in the process of supporting potential investments and initiatives in the private sector financially, offering long-term resources that have been obtained within the network of international relationships to a large section of the business world, through direct lending and apex banking (wholesale banking activities).
Another area where TKYB serves its experience is consultancy and technical assistance services. In this regard, the Bank supports institutions and enterprises operating in different fields with its experts possessing knowledge on sectors as well as experience in national and international field while supporting the efforts of developing their own potential with concrete contributions. TKYB goes beyond being a conventional lender; it is a service provider that shares technical knowledge and experience with its customers unconditionally throughout the investment period.
In this context, the bank, as a “responsible corporate citizen”, contributes to initiatives that protect the environment and address climate change, which are essential elements of sustainable development, by collaborating with the international financial institutions.
Guided by Turkey’s 2023 vision, TKYB will continue to contribute and play an active role in the sustainable development process of the country in the future as it does today with its powerful resource structure, competent human resources and corporate governance approach.
Summary of sustainability strategy
The bank’s mission which is determined in the Strategic Plan of TKYB for the year 2015-2019 period “in line with sustainable development priorities of the Country, is to meet the financing needs of entrepreneurs, to contribute to the widespread ownership of capital and to structural transformation, to cooperate with domestic and foreign institutions and provide consultancy support. Its strategies and targets are designed to be in line with the climate change and transition to a low carbon economy policies of Turkey.
TKYB considers sustainable development as an integrated part of its climate change mitigation and adaptation strategy. This approach dates back to year 2006, and led to the development of the environmental policy of the Bank since 2010. Accordingly the bank’s Environmental Management Committee decided to set up a “sustainability work group” which will be determining the priorities of the bank for the purpose of preparing the bank’s sustainability report in the long run.
In 2010 the Bank established an Environmental Management System (EMS) in order to increase its positive influences and reduce the negative environmental impacts of its development and investment banking activities. The System is created based on the TS-EN-ISO 14001 Environmental Management System standard. The bank is committed to reduce the environmental impact of its services and activities and use of natural resources, as well as increasing its positive environmental activities. Considering the indirect effect of these approaches over the climate change related issues, the bank has placed the environmental management system at the heart of its operational strategies since the past eight years.
The bank ensured that its personnel participated in training programs, fairs and congresses related to issues such as the climate change, environment, energy, energy efficiency and waste technologies.
Moreover, as a pioneer bank in its sector, TKYB has an annual target of offsetting its Scope 1 through Gold Standard certification and Scope 2 emissions through the i-REC certification.
The climate change and carbon markets related developments at national and international levels are being followed up closely by experts and upper management. The bank continues its operations by integrating its activities to the developments related to the transition to the low carbon economy.
In its core business of the provision of loans, the bank evaluates the environmental and social risks of the projects during decision making process.
Renewable energy and energy efficiency which are essential for a low carbon economy, are the issues that TKYB attributes highest importance. The bank, in line with Turkey’s priorities, has been taking important steps in supporting renewable energy and energy efficiency investments. In line with TKYB’s strategy to support a low carbon economy the year 2018 Renewable Energy Primary Indicators can be listed as follows:
- Total Amount of Loans Supplied to Corporations TRY 5,177 million
- Number of Projects Financed 258, accounting for renewable energy capacity of 1,883 MW
Renewable Energy Power Plants That Became Operational as of December 31st, 2018: 58 Hydroelectric Power Plants; 6 Wind Farms; 5 Geothermal Power Plants; 3 Landfill Projects; 15 Energy Efficiency Projects and 153 Solar Power Plants.
The annual economic impact of these projects totals approximately 4,384 GWh, preventing about 2,499 million tons of CO2 equivalent greenhouse gas emissions per year.
Further information is available here.